Treasuries moved lower over the course of the trading day on Tuesday, extending the modest drop seen in the previous session.
Bond prices recovered after an initial drop but moved back to the downside as the day progressed. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, rose by 1.8 basis points to 0.680 percent.
The weakness among treasuries came as stocks on Wall Street extended a recent upward trend amid optimism about an economy recovery as businesses reopen.
Economists have repeatedly warned that the recovery will take time, but traders have seemingly shrugged off those concerns as stocks continue to recover from their March lows.
Traders have also largely ignored the mass protests across the country in response to the death of George Floyd at the hands of Minneapolis police officers.
The protests have turned violent in many instances, but traders appear to believe that the unrest will be curtailed before having any meaningful impact on the economy.
Following today’s lack of major U.S. economic data, trading on Wednesday may be impacted by reaction to reports on private sector employment, service sector activity and factory orders.